The best indicator for Regional Banks (KRE)
We backtested 20 indicators across daily, weekly and hourly charts on real Regional Banks (KRE) history. Here's what actually worked — risk-adjusted, out-of-sample, with costs.
Stochastic
On the weekly chart, this is the strongest risk-adjusted edge we found for Regional Banks (KRE) over ~20.0 years — beating buy-and-hold by 2.4% CAGR.
The winner on each chart
Every indicator, ranked
Ranked by Sharpe (risk-adjusted return). Hypothetical, fees included.
| # | Indicator | TF | CAGR | Sharpe | Max DD | Win | Trades | vs B&H |
|---|---|---|---|---|---|---|---|---|
| 1 | Stochastic ✓ | Weekly | 6.9% | 0.43 | -53.9% | 90.9% | 22 | 2.4% |
| 2 | CCI ✓ | Weekly | 6.7% | 0.42 | -60.1% | 82.6% | 23 | 2.3% |
| 3 | Williams %R ✓ | Weekly | 5.5% | 0.37 | -60.3% | 90.3% | 31 | 1.0% |
| 4 | Bollinger Mean-Reversion ✓ | Weekly | 4.7% | 0.35 | -37.3% | 77.8% | 18 | 0.2% |
| 5 | WaveTrend (8/6/4) ✓ | Weekly | 5.6% | 0.35 | -56.5% | 70.6% | 17 | 1.1% |
| 6 | MACD ✓ | Daily | 4.0% | 0.29 | -58.7% | 45.0% | 189 | -0.4% |
| 7 | Stochastic ✓ | Daily | 4.1% | 0.29 | -56.7% | 62.1% | 103 | -0.4% |
| 8 | Money Flow Index ✓ | Daily | 3.1% | 0.25 | -68.5% | 81.2% | 16 | -1.3% |
| 9 | Heikin-Ashi Trend ✓ | Weekly | 2.7% | 0.23 | -57.1% | 46.5% | 187 | -1.8% |
| 10 | Holy Grail Confluence ✓ | Daily | 1.7% | 0.18 | -49.7% | 69.0% | 29 | -2.8% |
| 11 | EMA 50/200 Cross ✓ | Daily | 2.3% | 0.22 | -35.9% | 33.3% | 12 | -2.1% |
| 12 | SMA 50/200 Cross ✓ | Daily | 1.2% | 0.16 | -53.6% | 46.7% | 15 | -3.2% |
| 13 | Donchian Breakout ✓ | Daily | 1.2% | 0.16 | -43.1% | 45.0% | 80 | -3.2% |
| 14 | EMA 20/50 Cross ✓ | Weekly | 3.8% | 0.3 | -40.5% | 50.0% | 8 | -0.7% |
✓ = held up out-of-sample. Hypothetical, costs included. See methodology.
For Regional Banks (KRE), Stochastic on the weekly timeframe gave the best balance of return and risk in our test. It beat buy-and-hold — but remember: this is a hypothetical backtest of a standard rule, not a recommendation. Markets change. See the methodology and disclaimer.
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